Terms and Conditions

Terms: Net 30 days, 2% discount from invoiced price (excluding taxes) for payments received within 10 days of invoice date for all purchases. (Payments accepted: Cheque, Debit, Visa, MasterCard, Wire Transfer, or EFT). Interest charged at 2.5% compounded monthly on overdue accounts. $50.00 charge on N.S.F. cheques. Pricing is subject to change without notice according to market forces; however, should that occur, it is by policy that PaperMake guarantees firm pricing on all regular products that are purchased for a minimum of one year from the original commencement date of business with that client.

Hours Of Operation: Office from 7:00 AM till 4:30 PM; Warehouse from 9:00 AM till 3:00 PM.

Equipment (being dispensers, equipment or systems provided by Papermake Enterprises Ltd. (PME) for the consumption of PME products supplied by PME to the Customer (as indicated in the “Sold To” section of this document) on a lease (OL) basis for so long as PME continues to supply products to the Customer (the “Term”), where the rental is deemed to be included in the cost of the product being purchased in an amount equal to one percent of the gross cost of the product purchased. Title to and ownership of the equipment shall not pass to the Customer on delivery, and all such equipment shall remain the sole property of PME but at the customer’s risk until such equipment is returned in good order to PME. The Customer shall not sell, encumber or otherwise dispose of the equipment. The Customer shall not part with possession, custody or control of the equipment or any interest in it or the equipment or remove the equipment from the address to which the equipment was delivered, without the prior written consent of PME. The Customer shall keep affixed in a conspicuous position on the equipment such name plates, marks or numbers as PME may require for the purpose of identifying the equipment as the property of PME. At the request of PME, the Customer will assemble the equipment and surrender possession of the equipment to PME upon expiration of the Term at such place and time as designated by PME. In retaking possession of the equipment, the Customer agrees that PME has the right to attend the Customer’s premises at all reasonable times for the purpose of inspecting, maintaining or removing the equipment. In particular, PME shall be entitled to the removal of the equipment upon expiration of the Term. The Customer agrees that PME will not be responsible for the repair of mounting holes or other damage reasonably incidental to the removal of the equipment for whatever reason. The Customer shall be liable for loss

or damage to equipment where careless abuse is involved. PME will not be liable for any injury resulting from negligent use of its equipment. The Customer agrees to purchase supplies for the equipment exclusively from PME while it carries on business and while the equipment is on its premises. If the Customer purchases products from suppliers other than PME in default of this provision, the Customer shall pay rental in the amount of $10.00 per month for each piece of equipment until all equipment is returned to PME or until the Customer re-commences the purchase of products from PME.

Termination: The client agrees to give PME the right of first refusal when competitive situations arise; and, to the requirement of giving PME 120 days written notice before terminating business with PME; and as such, the normal course of business will continue with PME for this period of notice until either: the notice period expires; or PME and the client can settle on new terms mutually beneficial to both parties involved. PME will not allow the return of products for refund or for credit when delivered on a perpetual basis in good faith at termination of business. However PME at it's descretion will leave dispensers in place long enough to use up current PME stock on hand.

The recognized standard for removal of equipment is that the incumbent removes the equipment that is in place while installing their own equipment; and then, combines all of the removed equipment into one area; so that, the client can then contact PME to pick them up. If the incumbent supplier will not do installs, the responsibility of equipment removal (and installs) falls to the client to perform; or, the client can choose to pay PME $20.00 per unit of equipment for the removal and install of all the units that are involved. If equipment are not returned at the termination of business, they will then be charged to the client based on replacement value.

Distribution Related Fees: At its discretion, PME may charge a fee on regular orders of less than $100.00. This charge will not apply to fill-in orders for which historical orders have been greater than $100.00; or, in instances where PME manages inventory for the client where the PME rep has failed to have on-board a product (or products) required to complete that order. At the sole descretion of PME restocking charges of 20% of invoiced value apply to returned products (mis-shipped or incorrect product delivered will not bear such charges).

Tile to and ownership of product supplied passes to the customer upon delivery.